International firms catch flak in China

Targeting profitable foreign firms operating in China at a time of slowing economic growth seems counterproductive and is a reversal from the past.

It has been a rough few years for multinationals in China, with some of the world’s most recognisable brands pilloried by state media, probed by regulators and prosecuted in the nation’s courts. A spate of anti-trust cases last year caused a good deal of consternation among foreign executives on the mainland. The market, they say, still struggles with the concept of a level playing field.

Foreign companies are vulnerable to open-ended investigations by ministries and...